Subject: Implementation of the recommendations of the 7th Central Pay Commission — 2nd meeting of the E-CoS

A meeting of the Empowered Committee of Secretaries (E-CoS) was held on 1 st March, 2016 in the Cabinet Secretariat under the chairmanship of the Cabinet Secretary to discuss issues raised by Staff„side of JCM

2. Welcoming the members of E-CoS and JCM Staff side, Cabinet Secretary observed that the meeting had been called to take a note of concerns of Stäff-$ide of JCM regarding recommendations of the 7th CPC and invited the members Of Staff-side of JCM to share their views on the recommendations.

3. Opening the discussion, representative of Staff-side of JCM expressed gratitude to Cabinet Secretary for inviting them for interaction regarding the recommendations of the 7th CPC and requested that more frequent interactions of JCM may be held to resolve outstanding issues across the table. It was expressed that 7th CPC has recommended a meager increase of 14% in the minimum pay as against increase ranging up to 54% during previous Pay Commissions. It was further stated that the recommendations on minimum pay, allowances, advances etc. will cause difficulty to employees. Representative of Staff-side informed that they have already submitted a charter of demands to the Cabinet Secretary bringing out the issues. These have also been discussed in the meeting of JS (IC) with Staff-side of JCM held on 19.02.2016.

4. Major concerns expressed by JCM Staff-side were as under:

The minimum pay of Rs. 18000/- p.m. recommended by the Commission is on lower side and needs to be revised upward by taking into account the prices of commodities as on 01.07.2015 and appropriately factoring in for social obligations & housing.

(ii) New Pension Scheme should be done away with. Persons governed by the NPS are deprived of Family Pension and do not have provision of provident fund. As a result they are at a disadvantageous position as compared to the persons governed by the old system.

(iii) Recommendations on allowances need to be properly examined before taking a decision.

(iv) Fixed Medical Allowance should be increased from existing Rs. 500 p.m. to Rs. 2000 p.m. as majority of cities are not covered under CGI-IS and people residing outside the CGHS covered area are unable to meet their medical needs with meager amount of Rs. 500 p.m.

(v) Recommendation regarding withdrawal of non-interest bearing advances may not be accepted.

(vi) Outsourcing of services should be discouraged as the contract workers are being exploited by contractors and at the game time the service delivery is being compromised due to inefficiency and lack of accountability of low aid contractual staff.

(vii) Enhancement in contribution towards Group Insurance Scheme, is not justified as this would reduce the actual increase in take home salary considerably. If the rates are to be raised, the Government should bear the insurance premium

(viii) The recommendation regarding grant of only 80% of salary for the second year of Child Care Leave need not be accepted as this would deter women from availing of CCL, which was introduced as a welfare measure.

(ix) Annual increments be granted @ 5% instead of existing 3% and increments may be granted on two dates viz., 1 st of January and 1 st of July of every year as in the present system of grant of increment on 1 st July of every year, employees joining/promoted after 1 st January, who do not complete 6 months services as on 1 st July, have to wait for up to 18 months for grant of increment.

(x) The Commission’s recommendation of downgrading the Assistants of Central Secretariat for bringing in parity with their counterparts in the field offices is not appropriate.

(xi) Recommendation regarding PRIS need not be accepted as no scientific mechanism has been devised to assess the performance of employees and the same could ecourage favoritism.

5. Issues regarding financial upgradation under MACPS in promotional hierarchy without grading stipulation. grant of two increments on promotion introduction of Productivity Linked Bonus, treating Grameen Dak Sevak as Government employees, removal of pap of 5% on compassionate appointment 8i full pay and allowances In case of Work Related Illness and Injury Leave improving promotional avenues for technical and supervisory staff etc. were also raised by members of JCM.

6. During the discussion, representatives of JCM also suggested that the Nodal Officers nominated by various Ministries/Departments may hold interactions with recognized Staff Associations and other stakeholders under their purview so as to identify issues specific to those Ministries/Departments for redressal.

7. After hearing the participants, Cabinet Secretary observed that the deliberations have helped E-CoS in understanding the major concerns of the Staff-side and said that all issues have been taken note of. He assured that fair consideration will be given to all points brought out by JCM before taking a final view. He further stated that the E-CoS needs to examine the Report of the Commission in entirety as well as the issues raised by JCM in consultation with all other stakeholders. As such, it may take some time to take a final call on the recommendations of the Commission.

8. Cabinet Secretary also advised the members of E-CoS to hold interactions with their Staff Associations and other stakeholders under their purview preferably within a week.